History of Money
What is Currency?
Any form of money like coins and bank notes usually backed by government. Historically, this also included shells, beads and metal coins.
What is a Bartering System?
A system where you trade one thing for another.
What is money?
A tool that could stand in for valued be used by anyone.
What is Fiat Money?
money that is not backed by gold or anything physical. Instead, governments promise it's worth something.
What is the difference between bartering and commodity money?
Bartering is a direct exchange of goods while commodity money uses a good with a value (gold or salt) as a universally accepted exchange that can be used to buy other goods.
What is an example of Bartering?
Offering a basket of apples in exchange for a loaf of bread.
What is the main purpose of money?
To make buying, selling and trading simpler and fairer.
What is digital money
Credit cards, debit cards, Apple Pay, Google Pay and online banking.
What are some of the first forms of money?
Shells, Beads and large stones.
What types of items were used to barter?
Cattle, salt, feathers, materials, precious metals etc.
Why is money valuable?
Trust. When you earn 10$, you trust that it will still buy something tomorrow. Without trust, its just paper and pixels.
What video games emulate money flow?
Roblox, Minecraft, and V-Bucks
Who created the first paper money?
First paper money was used in China during the Tang Dynasty in the 7th Century AD.
What is the advantage of a bartering system?
It can be a way to get things you need and foster a sense of community.
What is investing?
Investing helps grow money over time.
What type of money exists in other countries that you know of?
Euros (used in Europe)
British Pound (Used oil the United Kingdom)
Japanese Yen ( Used in Japan)
Who created the first regulated coins?
Created by the Lydians in the 7th Century BCE.
Why doesn't a Bartering System always work?
Because it was difficult to determine if trades were fair.
Ex. Was one chicken really worth two baskets of berries?
What problem did money solve?
You don't have to match what someone wants, you just pay and they spend the money on whatever they want.
List other ways to move money
Checks, Gift Cards and QR codes